The Role of Trustees and Custodians

The Trustees and Custodians play an important role in the governance of unit trusts. How? Usually, the Trustee or Custodian is usually a public company, a bank, or an insurance company registered either under the company’s act or the society’s act. These entities must prove to be of good standing and be equipped to carry […]

How Do I Make Money in Unit Trusts?

The return to the investor for his or her investment in the unit trust comes from two elements namely, capital growth and income. Please note that certain kinds of assets, such as shares and property, are subject to changes in market value, leading to capital gains and capital losses. However, other assets, such as cash […]

What are the associated costs?

Cost structures may vary from one fund manager to the next. Hence it is imperative for an individual investor to carefully assess the costs. What are some of the associated costs of investing in unit trusts? NB: Any fees incurred must be reasonably disclosed to clients.

How Unit Trusts Work

Unit trusts pool money of many people and invests it in shares, bonds, money market instruments and other investments. This pool is then divided into identical units (participatory interests), each unit containing the same proportion of the assets in the portfolio. Unit Trusts are professionally managed by licensed fund managers (licensed by the Securities and […]